[Soda ash]3.7 Soda ash Daily Review: Some low prices in the soda ash market rebound

Analysis of soda ash market

Today, prices in some regions of China's soda ash market have rebounded at a low level. As of now, the price of light soda ash in South China is 2,200 - 2,250 yuan/ton, and the price of heavy soda ash is 2,300 - 2,400 yuan/ton; the price of light soda ash in East China is 1,850 - 2,150 yuan/ton, and the price of heavy soda ash is 2,000 - 2,100 yuan/ton; Recently, the soda ash market has started at a high level. With the launch of replenishment demand in the middle and lower reaches of the market, the shipments of some companies have improved, and market inquiries have increased; and the price of soda ash has been lowered to a low level. Companies have strong intention to support prices, and prices may remain stable.

Futures dynamics

According to Boduo data, the opening price of SA2405, the main contract for soda ash, on March 7, was 1920 yuan/ton, and finally closed at 1934 yuan/ton, an increase of 2.87% within the day. The highest intraday session was 1969 yuan/ton, the lowest was 1907 yuan/ton, with a total position of 524076 lots, a month-on-month period of-27651 lots.

Today, the main contract for soda ash gapped and opened higher, and then fluctuated at a high level. Affected by the recent replenishment market in the middle and lower reaches, the problem of unbalanced inventory distribution of manufacturers has once again developed. Manufacturers of light soda in the core production and marketing areas have good transactions but limited supply, causing market rumors to disturb short sellers to leave the market to avoid risks. Overall, this week's output still meets the rising weekly demand, and the trend of manufacturers accumulating stocks remains unchanged, but the range has shrunk significantly month-on-month. The follow-up focus remains on the sustainability of replenishment in the middle and lower reaches. The space above the market will also depend on changes in spot prices. It is not ruled out that the unilateral emotional fermentation of futures prices will create current arbitrage opportunities to sell on the market.

market outlook

The supply of soda ash in the market is still high, but as prices have dropped to low levels, shipments of individual companies have improved. However, the overall market inventory is still at a high level. Due to the increase in market replenishment demand, market inquiries have increased, and the soda ash market may be improved.